The Cocoa Marketing Company Ghana Limited (CMC) has unveiled a new initiative aimed at increasing local processing of cocoa beans as part of efforts to strengthen Ghana’s position in the global cocoa value chain.
The initiative, known as Project Elevate, seeks to reduce the country’s reliance on raw bean exports and support government’s target of processing at least 50 per cent of Ghana’s cocoa output locally.
CMC operates as the commercial arm of the Ghana Cocoa Board (COCOBOD) and is responsible for marketing and selling Ghana’s cocoa beans on the international market. Its operations play a key role in generating export revenue and determining the income paid to cocoa farmers.
Under Ghana’s cocoa marketing structure, Licensed Buying Companies purchase beans from farmers at the approved producer price and deliver them to CMC for export. Revenue from these sales determines the gross Free On Board (FOB) price, 70 per cent of which is paid to farmers. This makes CMC’s contracting and pricing decisions central to farmer welfare and foreign exchange earnings.
To manage price volatility, CMC sells cocoa through a combination of forward and spot contracts, with pricing benchmarked to the London cocoa futures exchange. Forward contracts allow the company to lock in favourable prices ahead of delivery, providing revenue predictability and strengthening crop financing arrangements.
In the current crop season, CMC reportedly secured about 90 per cent of its anticipated export volumes during a period of high global prices, before a subsequent market correction. This strategy has helped cushion the sector from the full impact of declining prices and weaker demand.
Under Project Elevate, a portion of cocoa beans will be supplied to selected local processors for conversion into semi-finished products such as cocoa liquor and cocoa butter, which generate higher returns than raw bean exports.
Two state-linked processors, Cocoa Processing Company (CPC) and West African Mills Company (WAMCO), have been identified as key partners under the initiative. Both firms are currently operating below installed capacity, creating room to scale up processing without significant new capital investment. Private sector processors are also expected to contribute to the programme.
The company’s combined strategy of forward sales and expanded domestic processing reflects an effort to secure greater long-term value for Ghana’s cocoa sector amid ongoing global market uncertainty.
